A mainlander allegedly laundered HK$50 million every day for eight months, dealing with up to HK$13 billion, a court heard on Tuesday.
Luo Juncheng, 22, who owns a computer shop on the mainland, pleaded not guilty in the Court of First Instance to dealing with property known or reasonably believed to represent proceeds of an indictable offence.
The alleged laundering took place between August 2009 and April 2010 with most of the funds being funnelled in and out through internet transfers.
Prosecutor Thomas Iu said Luo made 4,800 deposits and 3,500 transfers out of a bank account.
“This case involves a young man from mainland China, a company set up in Hong Kong and the fact that HK$50 million went through the account every day in the course of eight months,” Iu said.
On July 30, 2009, Luo bought a company called Ace Creation Development from a secretarial company in Hong Kong, Iu said.
On August 3, Luo set up an account with Chiyu bank in the name of the company. Ten days later, he came to Hong Kong as a visitor to set up a personal account.
From September 9, 2009, large sums of money began to pour into the company account. On that day, some HK$2.6 million was deposited into the account.
Luo was the only signatory for the account and the only person controlling the company, which had no business in Hong Kong.
Luo also transferred about HK$3.5 million into his personal account, which he used to buy shares.
Neither Luo nor the company filed any tax returns, the court heard.
Madam Justice Esther Toh Lye-ping adjourned the case to Wednesday.